The vice-chancellor of Exeter University could bag himself a whopping £830,000 payout next year, according to reports.

Sir Steve Smith would receive the mammoth annual pay and bonus package - believed to be the biggest in the sector - after finishing his final year in 2020.

The package for Sir Steve, 66, includes a salary of up to £420,000 with pension contributions and almost £400,000 in bonuses, according to the Daily Telegraph.

It is understood the lucrative deal was struck between the university and Sir Steve seven years ago.

Professor Sir Steve Smith, BSc MSc PhD (Soton) FAcSS

The payout will raise questions over whether universities are doing enough to rein in remuneration payouts after signing a voluntary code last year.

The bonus for Sir Steve, who has been vice-chancellor and chief executive at Exeter University since 2002, includes a £105,850 ‘retention’ payment if he stays in his post until his contract expires on August 31 next year.